Uber announced plans to reduce its global workforce by approximately 10 percent as part of broad organizational restructuring aimed at improving operational efficiency. The ride-hailing company, which employs around 34,000 people across more than 70 countries, confirmed the layoffs in a message from CEO Dara Khosrowshahi to employees on Wednesday.
Khosrowshahi described the changes as necessary to create a “leaner organization” that would enable clearer ownership, faster decision-making, and more focused efforts on product development rather than coordination. The restructuring is expected to eliminate multiple managerial layers and reduce teams to improve speed and agility within the company.
Founded in 2009, Uber revolutionized urban transportation by allowing private vehicle owners to provide rides, challenging traditional taxi services. Since then, Uber has rapidly expanded into food and retail delivery as well as courier services. The company’s drivers, who are generally classified as independent contractors rather than full-time employees depending on local regulations, have frequently raised concerns about compensation rates.
Uber’s latest move also involves exiting certain markets. On the same day the layoff announcement was made, the company said it would discontinue operations in Nigeria and Uganda, following its withdrawal from Tanzania earlier in 2026. These decisions align with Uber’s broader strategy to focus resources on more profitable regions.
Analysts from Wedbush Securities estimated that the workforce reduction could yield savings of around $1.75 billion, money that Uber plans to reinvest in areas targeted for growth. The reorganization will consolidate restaurant, retail, and direct delivery units within Uber’s delivery business into integrated teams operating at global, regional, and country levels.
As part of the restructuring, Uber also intends to concentrate its global operations teams primarily in New York and San Francisco, centralizing key functions in its major hubs. The company’s leadership views these steps as essential to maintaining competitiveness and streamlining its sprawling global operations amid evolving market challenges.
